Corporate Retirement Plans

In the UK, ‘corporate retirement plans’ are more usually referred to as ‘Group Pension’ arrangements. These can be established by the employer as an ‘occupational’ scheme under a trust arrangement in which the employee becomes a member, or a ‘Group Personal Pension’ (GPP) arrangement which the employer ‘sponsors’ but where each employee owns their own portable pension policy. Occupational schemes can be expensive to establish and run, and are subject to significantly more complex regulatory controls and reporting. Accordingly, GPP’s are now the most common approach. Automatic-enrolment was introduced in October 2012, and this has also given rise to certain ‘Master Trust’ solutions.